News To Read On The Fourth of July 2023

Oil Traders Don’t Buy The Saudi Cuts

Something odd is happening in the oil market. Despite news that Saudi Arabia would extend its voluntary production cuts for another month and possibly beyond, and despite Russia saying it would reduce exports by half a million barrels daily, prices are falling. Traders are selling their oil positions instead of boosting them in anticipation of the supply crunch. Logically, this is what follows a production cut, especially one of 1.5 million barrels daily. Yet there is no less logic in seeking to anticipate weaker oil demand in case of a global…

Read more at: https://oilprice.com/Energy/Crude-Oil/Oil-Traders-Dont-Buy-The-Saudi-Cuts.html

Thames Water’s Debt Crisis Is Just The Beginning

Thames Water’s travails have taken the media spotlight in recent days, and deservedly so, with growing fears the country’s largest supplier could be on the verge of collapse. Shareholders injected £500m into the company in March, and committed to a further £1bn in funding before discussions later faltered – with chief executive Sarah Bentley abruptly stepping down last week, and the supplier bringing in crisis manager Sir Adrian Montague as its new chairman. It recognises the suppliers ”significant issues to…

Read more at: https://oilprice.com/Energy/Energy-General/Thames-Waters-Debt-Crisis-Is-Just-The-Beginning.html

Trans Mountain Pipeline Unlikely To Ship Canadian Oil To Asia

The additional Canadian crude volumes that will be transported from Alberta via the expanded Trans Mountain oil pipeline are likely to stay in North America and end up on the U.S. West Coast instead of in Asia, as planned years ago when the project was designed, traders have told Reuters. The Trans Mountain Expansion project has been dragging on for years and faces environmental opposition and rising construction costs. Initially, the pipeline expansion was set to help Canada export its heavy crude oil to Asia via tankers from the Canadian…

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Trans-Mountain-Pipeline-Unlikely-To-Ship-Canadian-Oil-To-Asia.html

Brazil’s Petrobras Looks To Buy Oil Assets After A Decade Of Divestments

Brazil’s state-owned oil and gas firm Petrobras is on the lookout for potential asset acquisitions after spending years selling off stakes in upstream and downstream businesses, chief financial officer Sergio Caetano Leite told Bloomberg in an interview published on Tuesday. Thanks to lowered debt and stronger cash flow generation and financing, Petrobras could be ready for an acquisition, the executive said.   “Petrobras had a divestment program,” Leite told Bloomberg. “The company has now changed sides of the table.”…

Read more at: https://oilprice.com/Latest-Energy-News/World-News/Brazils-Petrobras-Looks-To-Buy-Oil-Assets-After-A-Decade-Of-Divestments.html

UK Energy Supply Sector To Return To Profits For First Time In Five Years

The UK’s energy supply sector is set to return to profits after five years of losses and two years of bankruptcies and hardship in the energy crisis, regulator Ofgem said on Tuesday but warned companies against splashing profits on dividends.   The UK’s energy providers were decimated by the surge in wholesale natural gas prices at the end of 2021 and in 2022 when around 30 suppliers went bankrupt and exited the energy market. The UK has a so-called Energy Price Cap in place, which protects households from high bills by capping…

Read more at: https://oilprice.com/Latest-Energy-News/World-News/UK-Energy-Supply-Sector-To-Return-To-Profits-For-First-Time-In-Five-Years.html

EU Climate Boss Raises Concerns Over China’s Coal Expansion

China has been building a lot of wind and solar generation capacity but at the same time it has been expanding its coal power plant fleet and that is “a contradiction”, the man in charge of the European Union’s transition plans has said. “And that seems to be in a contradiction and it is in contradiction,” Frans Timmermans said during a visit to Beijing, as quoted by the AP. He then added, “But at the same time, I do understand the anxiety caused by potential blackouts.” Energy supply reliability and security is the motivation…

Read more at: https://oilprice.com/Latest-Energy-News/World-News/EU-Climate-Boss-Raises-Concerns-Over-Chinas-Coal-Expansion.html

Oil Prices Inch Higher In Cautious Response To Saudi And Russian Cuts

Crude oil prices moved modestly higher in Asia pre-noon trade today following the news that Saudi Arabia would extend its voluntary oil production cuts through August. The Kingdom would produce some 9 million bpd of oil in August—the same level it aims for this month—and could further extend the reduction beyond August, the Saudi Press Agency reported earlier this week. On the same day, Russia announced it would cut its oil exports by half a million barrels daily next month. “As part of the efforts to ensure a balanced market,…

Read more at: https://oilprice.com/Energy/Energy-General/Oil-Prices-Inch-Higher-In-Cautious-Response-To-Saudi-And-Russian-Cuts.html

Saudi Arabia Sets The Stage For Big OPEC Production Cuts

OPEC last week underlined that Asia’s continued strong economic growth would account for virtually all the growth in demand for oil this year. Saudi Aramco added that China and India will drive oil demand growth of more than 2 million barrels per day (bpd) in the period. Just prior to these two comments, Saudi Arabia’s energy minister Prince Abdulaziz bin Salman said that OPEC and its allies are in “a state of readiness” amid a divergence between the physical and futures oil markets. These actions, he added, would be “precautionary…

Read more at: https://oilprice.com/Energy/Crude-Oil/Saudi-Arabia-Sets-The-Stage-For-Big-OPEC-Production-Cuts.html

Iran’s Growing Oil Production: A New Threat To OPEC’s Market Grip

Reports of Iran/U.S. talks have surfaced repeatedly over the last couple of years, spooking the markets each time it’s suggested that Iran’s oil could return to the market. But Iran’s crude oil does add a mystery element to the oil markets that transcends demand forecasts. Traders and oil bulls are not the only ones that should be concerned about the possibility that talk of Iran’s oil coming back into the market could send oil prices well below comfort levels. OPEC surely has some level of anxiety over the possibility that…

Read more at: https://oilprice.com/Energy/Crude-Oil/Irans-Growing-Oil-Production-A-New-Threat-To-OPECs-Market-Grip.html

Saudi Arabia And Iran To Jointly Exploit Oil & Gas Fields

Back in March, Saudi and Iran announced they had agreed to restore diplomatic ties in a deal brokered by China, ending a seven-year rift. The Saudi Arabia-Iran deal–one of the latest in a series of  geopolitical realignments that have lately been going on in the Middle East–has been widely lauded, with the U.S. National Security Council spokesman John Kirby saying, “To the degree that this arrangement can lead to an end to the war in Yemen, to the degree that it can help prevent Saudi Arabia from having to defend itself against…

Read more at: https://oilprice.com/Energy/Energy-General/Saudi-Arabia-And-Iran-To-Jointly-Exploit-Oil-Gas-Fields.html

China’s Bid For Energy Security Fuels Long-Term LNG Buying Spree

Long-term contracts for LNG supply are back after a year of record-high prices and energy crises.  Efforts to protect LNG imports from the volatility in spot prices amid the many uncertainties in the natural gas market and geopolitics, and the increased attention to energy security has prompted all gas importers – including a previously reluctant Europe – to sign more long-term LNG deals in recent months.     Leading the LNG contracting is China, a major gas consumer and importer, which has always looked to…

Read more at: https://oilprice.com/Energy/Natural-Gas/Chinas-Bid-For-Energy-Security-Fuels-Long-Term-LNG-Buying-Spree.html

How To Spot Greenwashing In Renewables Investment

By now, we’ve all tired of sanctimonious, box -checking ESG (environmental-social-governance) investors who talk the talk but own clearly unsustainable (to use another favorite word) stocks. And of big fossil-fuel producers who profess their desire to decarbonize—but not for a while, and not if it will cost too much money, or decrease profits. The same folks who want to take “responsible” steps to decarbonize but not until 2050 when all present managers will have retired. So, with our long experience in banking, security…

Read more at: https://oilprice.com/Energy/Energy-General/How-To-Spot-Greenwashing-In-Renewables-Investment.html

UK Manufacturing Faces More Headwinds As Overseas Spending Cools

Britain’s factories have plunged further into recession territory, driven by domestic and foreign buyers reining in spending amid intense economic uncertainty, a closely watched survey out today shows. S&P Global and the Chartered Institute of Procurement and Supply’s (CIPS) purchasing managers’ index (PMI) for the UK’s manufacturing industry slipped to 46.5 in June from 47.1 in May. It means the sector has been in the sub 50 point negative growth territory for 11 months in a row, although the reading was upgraded from…

Read more at: https://oilprice.com/Latest-Energy-News/World-News/UK-Manufacturing-Faces-More-Headwinds-As-Overseas-Spending-Cools.html

What China’s Solar Dominance Means For Global Trade

China’s rise as a global economic superpower has brought with it an ability for the nation to utilize its economic dominance for geopolitical purposes. As Visual Capitalist’s Marcus Lu shows in this infographic, sponsored by The Hinrich Foundation, China’s dominant position in the solar photovoltaic (PV) supply chain has used as leverage against countries that are dependent on it for clean energy.  Dominance in the Solar Supply Chain Solar energy is playing a significant role in the green energy transition, and as…

Read more at: https://oilprice.com/Energy/Energy-General/What-Chinas-Solar-Dominance-Means-For-Global-Trade.html

U.S. Lifts Tariffs On Indian Steel And Aluminum

Via AG Metal Miner Indian Prime Minister Narendra Modi recently visited the United States. During his stay, the two nations agreed to resolve six long-standing disputes at the World Trade Organization (WTO). U.S. steel news outlets watched this exchange particularly closely. This is because one of the subjects of debate was India’s imposition of retaliatory tariffs on U.S. products, including steel. Many analysts expect this development to stimulate trade between the U.S. and India while offering crucial tax benefits to Indian exporters. …

Read more at: https://oilprice.com/Metals/Commodities/US-Lifts-Tariffs-On-Indian-Steel-And-Aluminum.html

The 2023 movie box office will need a strong second half after an inconsistent first six months

While the domestic box office has tallied $4.46 billion in sales through June 30, a nearly 20% increase over the same period in 2022, it still lags behind 2019.

Read more at: https://www.cnbc.com/2023/07/04/2023-movie-box-office-needs-strong-second-half-after-inconsistent-start.html

Canadian West Coast ports negotiation reaches impasse as port owners say ‘course change’ required

A union representing port workers in Western Canada officially began striking Saturday, an action that could have ripple effects reaching beyond the U.S.’s northern neighbor.

Read more at: https://www.cnbc.com/2023/07/04/canadian-west-coast-ports-negotiation-reaches-impasse.html

Air travel chaos in Europe could be over — but higher ticket prices are here to stay

Last summer’s levels of disruption might be “largely behind us,” but don’t expect ticket prices to drop any time soon.

Read more at: https://www.cnbc.com/2023/07/04/air-travel-chaos-in-europe-could-be-over-but-higher-ticket-prices-are-here-to-stay.html

Britain is now the only major economy where inflation is still rising

Inflation ticked lower in the U.S. Canada, France, Germany, Italy and Japan, the OECD said. Britain, however, was found to be an outlier.

Read more at: https://www.cnbc.com/2023/07/04/uk-is-now-the-only-major-economy-where-inflation-is-still-rising.html

Third quarter is a key time for extreme weather events. Here’s what to expect for exposed stocks

Climate experts expect “El Niño” in 2023.

Read more at: https://www.cnbc.com/2023/07/04/3q-is-a-key-time-for-extreme-weather-these-stocks-are-exposed.html

Ukraine war live updates: Wagner’s Prigozhin reportedly resurfaces; NATO extends Stoltenberg’s term

Restrictions were briefly in place at Moscow airport Vnukovo following a drone attack.

Read more at: https://www.cnbc.com/2023/07/04/russia-ukraine-war-updates-for-july-4-2023.html

China’s Xi says countries share responsibility to promote growth, opposes decoupling

Chinese President Xi Jinping said Beijing opposes “decoupling and breaking links,” according to a CNBC translation of a Chinese-language state media readout.

Read more at: https://www.cnbc.com/2023/07/04/chinas-xi-says-countries-share-responsibility-to-promote-growth.html

Fireworks cause $59 million of property damage a year. Your insurance policy may cover it

Homeowners and renters insurance generally cover fireworks-related claims for property damage or injury. But there are exceptions.

Read more at: https://www.cnbc.com/2023/07/04/fireworks-damage-your-insurance-policy-might-cover-that.html

Bank of America’s top stock picks for the third quarter

Bank of America is out with its latest near-term stock picks as the third trading quarter of the year gets underway.

Read more at: https://www.cnbc.com/2023/07/04/bank-of-americas-top-stock-picks-for-the-third-quarter.html

El Niño has officially begun. UN says phenomenon likely to threaten lives, break temperature records

The warmest year ever recorded, 2016, started off with a powerful El Nino that helped to boost global temperatures.

Read more at: https://www.cnbc.com/2023/07/04/el-nio-un-says-climate-phenomenon-likely-to-break-temperature-records.html

Taylor Swift’s Eras Tour is set to earn a record-breaking $1 billion in sales—here are the 10 highest-grossing tours

Taylor Swift’s Eras tour has added extra dates, which could make it the highest-grossing concert series of all time.

Read more at: https://www.cnbc.com/2023/07/04/taylor-swift-eras-tour-set-to-earn-record-breaking-1-billion-dollars-in-sales.html

I spent 5 years interviewing 233 millionaires—here are 5 things they never waste money on

“Rich Habits” author Tom Corley spent five years studying and interviewing millionaires. He reveals the top things that rich people stopped wasting money on after they got ultra wealthy.

Read more at: https://www.cnbc.com/2023/07/04/i-asked-233-millionaires-what-they-stopped-wasting-money-on-after-they-got-rich.html

The 10 best U.S. cities for earning potential—the top 3 are all on the West Coast

When it comes to the best cities for earning potential, San Jose, San Francisco and Seattle top the list.

Read more at: https://www.cnbc.com/2023/07/04/the-best-cities-for-earning-potential-.html

Two Charts For Cash-Strapped Consumers Preparing For Backyard Barbecues

Two Charts For Cash-Strapped Consumers Preparing For Backyard BarbecuesNothing says Independence Day like a backyard barbecue and lighting off Chinese-made fireworks.

Cash-strapped consumers want to celebrate this Fourth of July on a budget after more than 24 months of negative real wage growth, resulting in depleted savings and sky-high credit card debt during the highest interest rate environment in years. We have found two charts that will help consumers navigate the minefield of inflation while preparing for backyard barbecues.

“Backyard barbecues are a favorite for many Americans as they celebrate Independence Day, but consumers may want to limit their hamburger intake,” Bloomberg said. Wholesale beef prices have soared 25% versus a year ago due to the country’s herd size collapse and persistent Midwest drought. Those seeking a bargain should purchase chicken for their barbecues because wholesale boneless chicken breasts have plunged by 60%.

There’s more good news: Cook …

Read more at: https://www.zerohedge.com/markets/two-charts-cash-strapped-consumers-preparing-backyard-barbecues

Blobocracy

Authored by James Howard Kunstler via Kunstler.com,

Neocon war is unpopular, ugly, venal. Worst of all, it is unsuccessful – meaning instead of ending in triumph and celebration, it persists as a confusing, contradictory and costly problem multiplier. …Neocons are the Dylan Mulvaneys of American politics, albeit with less sincerity and self-awareness.

– Karen Kwiatkowski

The American Revolution was a long emergency, too.

Try to see past the elegant uniforms, the dashing horsemen, and the beautiful, unspoiled country to imagine the darkness of uncertainty those people lived in, trying to go their own way against an implacable, distant authority. This holiday we admire the birth of that new nation, though it has aged into a monster repudiating its finest achievements: liberty and the rule of law. The DC Blob is the new distant, implacable authority, and many of us are not happy with it.

B …

Read more at: https://www.zerohedge.com/political/blobocracy

Farage ‘Banking Ban’ Sparks UK Govt Probe Of Blacklisting Accounts Over Political Views

Days after Brexiteer Nigel Farage told the world about his experience of having his bank accounts abruptly closed by a major banking group, without a valid reason provided, The FT reports that Chancellor Jeremy Hunt has said the government will take action over banks blacklisting customers who hold controversial views.

As we detailed at the time, Farage claimed that:

“The establishment are trying to force me out of the UK by closing my bank accounts,” adding, “this is serious political persecution at the very highest level of our system.”

And he cited 3 potential reasons for his apparent blanket ban…

1. the EU’s definition of a politically exposed person (PEP),
2. prejudice from corporate institutions, and
3. false allegations made by a member of Parliament regarding funds from the Russian government.

Warning that anyone in Britain could be next, Farage told The Mail this week:

“The banking industry in the UK has become politicised. We are going down a road where anybody in Britain could say something on Facebook …

Read more at: https://www.zerohedge.com/political/farage-bank-ban-sparks-uk-govt-probe-blacklisting-accounts-over-political-views

Happy Insurrection Day!

Authored by Michael Maharrey via SchiffGold.com.

Today we celebrate insurrection.

No. I don’t mean the fake Jan. 6, 2021, “insurrection.” I’m talking about the bonafide insurrection staged by American colonists against the British government.

We call July 4 “Independence Day.” But the British called it an act of rebellion.

You see, insurrection is in the eye of the beholder.

Technically, the British were right. Encyclopedia Britannica defines insurrection as “an organized and usually violent act of revolt or rebellion against an established government or governing authority of a nation-state or other political entity by a group of its citizens or subjects.”

The idea of insurrection offends modern sensibilities, and it is certainly an extreme last resort.

But it’s n …

Read more at: https://www.zerohedge.com/political/happy-insurrection-day

Nigel Farage bank account shut for falling below wealth limit

Nigel Farage’s account with the bank Coutts is not being closed for political reasons, the BBC is told.

Read more at: https://www.bbc.co.uk/news/business-66097039?at_medium=RSS&at_campaign=KARANGA

‘Rental ads saying no to kids forced us to sofa surf’

The findings from BBC analysis reveal a serious problem, say charities, but agents say landlords are worried about damage.

Read more at: https://www.bbc.co.uk/news/business-66030048?at_medium=RSS&at_campaign=KARANGA

Mortgage rates: Average five-year fix rises above 6%

Homeowners face higher costs as the rates for both two- and five-year fixed deals are now above 6%.

Read more at: https://www.bbc.co.uk/news/business-66088718?at_medium=RSS&at_campaign=KARANGA

Tech View: Nifty forms Hanging Man candle. What traders should do on Wednesday

Nifty saw huge short covering of the 19,300 call on Tuesday, which once again caused it to rally. As we get closer to the 19,500 mark on Nifty in the July expiry, expect to see some consolidation on the index. Bank Nifty is slowly seeing short straddles start to be created at the 45,500 mark for the July-end expiry. Taking the premium into account, one should not expect a run-away rally post 45500 in the very near term. It is also healthy if the indices consolidate for some time as this makes it ready for the next leg of either downside or upside depending upon the momentum.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/tech-view-nifty-forms-hanging-man-candle-what-traders-should-do-on-wednesday/articleshow/101490892.cms

HMA Agro Industries shares list at mild premium. What should investors do?

HMA Agro Industries’ shares debuted on the stock market with a 7% premium. Analysts suggest holding the stock for at least six to eight months due to the company’s strong fundamentals and niche business model. The company, a market leader in the export of frozen buffalo meat products, recently diversified into other food processing and exports. It heavily relies on the export business, which accounted for 90.2% of its revenue in FY22. The net proceeds from the IPO will be used for working capital requirements and general corporate purposes.

Read more at: https://economictimes.indiatimes.com/markets/stocks/news/hma-agro-industries-shares-list-at-mild-premium-what-should-investors-do/articleshow/101481996.cms

Dow Jones Newswires: German retail sales seen falling more than expected in 2023 as inflation bites

Retail sales are seen falling by 4% in real terms, down from a previous estimate of a 3% contraction, the HDE said.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C0C4D5-7425-4434-F126-653F7A1EF267%7D&siteid=rss&rss=1

Dow Jones Newswires: RBA stands pat on rates to assess economic outlook

Australia’s official cash rate remained at 4.10%, with economists split ahead of the policy meeting on whether the RBA would tighten further or remain on the sidelines.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C0C4D5-7425-4434-F126-653F79A9EEFE%7D&siteid=rss&rss=1

Dow Jones Newswires: Spain breaks record for international tourists in May

The country admitted 8.2 million tourists from abroad in the month, 17.6% more than May 2022 and also 3.8% more than in the previous May record set in 2019, ahead of travel shock prompted by the pandemic, Spain’s INE said.

Read more at: http://www.marketwatch.com/news/story.asp?guid=%7B20C0C4D5-7425-4434-F126-653F79F0553E%7D&siteid=rss&rss=1